Header cover image

Australian (ASX) Banks Industry Analysis

UpdatedNov 28, 2021
DataAggregated Company Financials
Companies15
  • 7D-3.1%
  • 3M-7.8%
  • 1Y14.1%
  • YTD13.5%

Over the last 7 days, the Banks industry has dropped 3.1%, driven by pullbacks from every company within the industry. This takes the industry's 12 month performance to a gain of 14%.

Industry Valuation and Performance

Has the Australian Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Sun, 28 Nov 2021AU$420.0bAU$84.7bAU$28.2b10.7x
Tue, 26 Oct 2021AU$461.0bAU$79.6bAU$24.8b10.3x
Thu, 23 Sep 2021AU$446.0bAU$79.3bAU$24.6b10.2x
Sat, 21 Aug 2021AU$455.0bAU$79.3bAU$24.6b12x
Sat, 05 Jun 2021AU$455.6bAU$77.0bAU$23.1b15.1x
Tue, 09 Mar 2021AU$396.9bAU$72.8bAU$19.3b16.1x
Mon, 30 Nov 2020AU$360.7bAU$70.1bAU$17.0b12.8x
Thu, 03 Sep 2020AU$301.1bAU$71.8bAU$19.6b9.8x
Sun, 07 Jun 2020AU$288.3bAU$74.7bAU$22.4b9x
Sat, 29 Feb 2020AU$382.6bAU$77.1bAU$25.0b8.7x
Tue, 03 Dec 2019AU$381.8bAU$79.4bAU$27.6b9.9x
Fri, 06 Sep 2019AU$401.4bAU$80.5bAU$27.9b11.1x
Mon, 10 Jun 2019AU$395.4bAU$82.0bAU$28.7b11.4x
Sun, 03 Mar 2019AU$381.0bAU$83.4bAU$29.8b11.5x
Wed, 05 Dec 2018AU$367.8bAU$85.0bAU$30.8b10.7x
PE Ratio

10.7x

Total Market Cap: AU$367.8bTotal Earnings: AU$30.8bTotal Revenue: AU$85.0b0%0%0%3 Year10 Year
201920202021

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 11.3x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Banks industry have declined 2.8% per year over the last three years, while revenues have remained mostly flat. This means that although sales have remained flat, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Australian Banks industry?

Diversified Banks-3.03%
Regional Banks-3.99%

Industry PE: Investors are most optimistic about the Diversified Banks industry, which is trading close to its 3-year average PE ratio of 14.6x. However analysts are expecting annual earnings growth of 3.2%, which is lower than the prior year's growth of 49% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Regional Banks industry, which is trading close to its 3-year average of 8.4x.

Forecasted Growth: Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 5.9% over the next 5 years. However this is lower than its past earnings growth rate of 12% per year. Meanwhile, the Diversified Banks industry is expected to see its earnings grow by 3.2% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

Company7D1YValuation
No data available
Simply Wall St
Simply Wall Street Pty Ltd
17-21 Bellevue Street, Surry Hills, Sydney
Download on the App StoreGet it on Google Play
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News